Market at a glance: CD&R captures $3.3B, deal activity remains sluggish

Fund-raising for buyouts firms moved up this past week with the help of Clayton Dubilier & Rice Inc. The New York-based firm has raised nearly $3.3 billion for Clayton Dubilier & Rice Fund VIII, which has a $7.5 billion target. The firm raised $4 billion for its seventh fund in 2004, and then followed that up by raising a co-investment vehicle, which closed last year at $540 million.

Overall, buyout and mezzanine firms raised $157.8 billion this year.

In addition to CD&R, this past week saw Cowen Healthcare Royalty Partners close its debut fund at the hard cap of $500 million. The amount raised for Cowen Healthcare Royalty Partners broke through its $350 million target.

Also, Abry Partners raised $670 million for Abry Advanced Securities Fund, which has an $800 million hard cap. Riverside Co. added to the total by collecting $550 million for Riverside Capital Appreciation Fund V and $100 million for Riverside Asia Fund I.

Disclosed deals rise above $64M

Deal activity was sluggish during the latest period, highlighted by the lack of any billion-dollar deals. Still, year-to-date deal flow rose to $64.3 billion.”

Thomson Reuters

(publisher of PE Week), has tracked 13 LBO transactions during the past week. The five with disclosed prices had a total value of about $1.1 billion.

Deal activity was highlighted by Advent International Corp., which purchased Creagmoor Healthcare Ltd., a U.K.-based operator of nursing homes, for $535 million. Advent bought the company through an auction in a secondary buyout deal.

Also, Kenner & Co. acquired Pace Industries Inc., a maker of aluminum casting-doe, from Legett & Platt Inc. for $350 million.